Fitch: Televisa unchanged

Fitch Ratings said an investment agreement between Grupo Televisa, SAB and Grupo Iusacell, SA de CV is consistent with Televisa's growth and diversification strategy in the Mexican telecommunications industry.

Fitch said it does not expect to take any immediate rating action on Televisa based on the transaction.

Grupa Televisa has a foreign-currency issuer default rating of BBB+, local-currency issuer default rating of BBB+, national long-term rating of AAA(mex), a BBB+ rating on its outstanding balance of $72 million of 8% senior notes due 2011, BBB+ rating on its $500 million 6% senior unsecured notes due 2018, BBB+ rating on its $600 million 6.625% senior unsecured notes due 2025, BBB+ rating on its $300 million 8.5% senior unsecured notes due 2032, BBB+/AAA(mex) rating on its 4.5 billion in Mexican pesos 8.49% senior unsecured notes due 2037, BBB+ rating on its $600 million 6.625% senior unsecured notes due 2040 and AAA(mex) rating on its 10 billion in Mexican pesos certificados bursatiles due 2020.

The outlook is stable.

The proceeds will be used to strengthen Iusacell's capital structure and operations, allowing it to finance growth, capital expenditures and improve service quality and coverage, the agency said.

Fitch said it believes that Televisa's credit profile, which incorporates the transaction, will be unaffected if the agreement is approved as announced as the investment is expected to be paid with cash on hand.

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